Research on International Conflict Coordination Mechanisms from the Perspective of Fiscal Synergy: A Case Study of China's Mediation in the Saudi-Iranian Reconciliation

The current international political landscape is characterized by accelerating multipolarity. The United States' imposition of additional tariffs and threats to withdraw from international agreements have exacerbated trade frictions with allies such as the European Union and triggered global supply chain disruptions. Meanwhile, the protracted Russia-Ukraine conflict, compounded by the strategic rivalry between the U.S. and Russia, has seen ceasefire negotiations hindered by divergent positions and shifting U.S. policy priorities. Against this backdrop of intertwined cooperation and competition, there is an urgent need to explore new coordination mechanisms to stabilize international relations and advance global peace. This study examines international conflict coordination mechanisms through the lens of fiscal synergy, focusing on China's mediation in the Saudi Arabia-Iran reconciliation as a case study. The research reveals that China leveraged economic cooperation initiatives, such as the Belt and Road Initiative, to strengthen bilateral economic interdependence between Saudi Arabia and Iran, thereby creating conditions for reconciliation. Concurrently, China employed fiscal transparency and trust-building mechanisms to facilitate dialogue and collaboration between the two parties. The findings demonstrate that fiscal synergy serves not only as a critical instrument for international economic cooperation but also as an effective tool for conflict resolution, offering innovative pathways to promote global peace and stability.